In July of this year, Saudi Arabia saw a significant increase in non-oil exports, reaching SR25.4 billion, a 19 percent rise compared to the same month in 2023. This growth was highlighted in the Statistical Bulletin of International Trade for July 2024, released by the General Authority for Statistics (GASTAT). Non-oil exports excluding re-exports rose by 6.5 percent, while re-exported goods saw a substantial increase of 78.4 percent in July. Despite a 3.1 percent decrease in oil exports, the overall value of commodity exports increased by two percent to SR94.5 billion.
Furthermore, the report showed that imports also saw a significant increase of 12.6 percent in July, totaling SR75.2 billion. However, the surplus in the trade balance decreased by 25.4 percent compared to July 2023. The value of commodity exports increased by 6.5 percent in July compared to June 2024, with non-oil exports experiencing a jump of 13 percent. In contrast, imports recorded an 8.8 percent increase, resulting in a 1.8 percent decline in the trade balance.
The ratio of non-oil exports to imports saw an increase in July, reaching 33.7 percent compared to 31.9 percent in July 2023. This was due to the significant 19 percent increase in non-oil exports compared to the 12.6 percent increase in imports during the same month. Chemicals, plastics, rubber, and their products accounted for the largest share of non-oil exports, at 25.8 percent and 25.6 percent, respectively. On the other hand, machinery, electrical appliances, and equipment accounted for the largest share of imports, at 26.5 percent and 14.6 percent for transportation equipment, according to the GASTAT bulletin.
Overall, the increase in non-oil exports is a positive indication of the diversification efforts of the Saudi economy, reducing its reliance on oil exports. This growth in non-oil exports can help boost the country’s economy, create new opportunities for businesses, and contribute to its long-term economic stability. With the ongoing efforts to promote and support non-oil sectors, Saudi Arabia is well-positioned to further strengthen its position in the global market, attract foreign investment, and drive economic growth.
